(Ken Silva, Headline USA) The Global Alliance for Responsible Media is being disbanded roughly two days after Elon Musk sued the group for colluding to throttle advertising after Musk bought Twitter company for $44 billion in late 2022.
The World Federation of Advertisers, which created GARM and which represents about 90% of global ad spending, announced the decision in a Thursday email, according to Business Insider. WFA CEO Stephan Loerke reportedly wrote that the decision was “not made lightly,” but that GARM has limited resources. Those resources will apparently be concentrated on fighting Musk’s lawsuit.
Reminders:
1. We sent demand letters to over 40 companies about GARM’s collusive practices.
2. We also produced a major report on GARM’s harm, which can be read here: https://t.co/3TTNysFZkC
3. We also had an incredible hearing with @benshapiro on the subject.
Winning. https://t.co/bSPBx63BMs pic.twitter.com/nknS9DJJ5Q
— House Judiciary GOP 🇺🇸🇺🇸🇺🇸 (@JudiciaryGOP) August 8, 2024
It looks like House Republicans also had a large hand in GARM’s disbandment. Twitter/X CEO Linda Yaccarino said in a video announcement this week that the lawsuit stemmed in part from evidence uncovered by the U.S. House Judiciary Committee which she said showed a “group of companies organized a systematic illegal boycott” against X.
The Republican-led committee had a hearing last month looking at whether current laws are “sufficient to deter anticompetitive collusion in online advertising.”
In a report released last month, the House Judiciary Committee found—among other things—that GARM targeted popular podcaster Joe Rogan over his views on the COVID-19 vaccine. According to the House Judiciary report, GARM tried to drive advertisers away from Rogan due to his pro-choice vaccine views.
“GARM pressured Spotify to punish Mr. Rogan by applying GARM’s standards on Mr. Rogan’s content,” the report stated.
“In late-January 2022, Spotify met with Joe Barone, Managing Partner Brand Safety Americas, of GroupM, a Steer Team member, to discuss so-called misinformation on Spotify,” the report said, noting that GroupM is the world’s largest media buying agency.
Even though GroupM didn’t buy ads on the Joe Rogan Experience, the organization still pressured to punish the podcaster, according to the Judiciary report.
Rogan, of course, survived the coordinated onslaught and today still has one of the world’s most popular shows.
Ken Silva is a staff writer at Headline USA. Follow him at twitter.com/jd_cashless.
